Scott Reeder: Hidden taxes you should realize you’re paying

When it comes to taxes, politicians like to be sneaky. Sure, we all are aware of the income taxes that we file every April 15. And it’s probably not just me who flinches when the property tax bill arrives every year.

Politicians in various cities like this tax. Why? Not only is it tucked away on hotel bills, it is usually paid by people who don’t vote in the community where they pay the tax.

We may be 237 years removed from July 4, 1776, but taxation without representation is still an appealing concept for many in power.

Many elected officials are hoping Hilton, Sheridan and Ramada — not them — will bear the blame for the bigger hotel bill.

Utility bills, phone bills and insurance bills are packed full of hidden taxes, too. Politicians think you’re too dumb to catch on to the fact that government is getting a cut.

Taxes should be three things: broad, low and transparent.

These hidden taxes are none of those.

The secret political appeal of hidden taxes came to my attention in the early 1990s when I was a young reporter covering Moline City Hall.

The aldermen were looking for a place to generate revenue.

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They chose a 5 percent tax on all video rentals. Why? Because they didn’t think anybody would notice.

It’s time to hit the erase button on that — and every other hidden tax.

Scott Reeder (sreeder@illinoispolicy.org) is a senior contributing editor to Watchdog.org, a veteran statehouse reporter and journalist in residence at the Illinois Policy Institute. Subscribe to his free reports from Springfield at ilnews.org.